Consumers are getting smarter, and the competition is surely becoming fiercer. But the goal for many businesses still hasn’t changed, which is increasing sales. One long-term strategy used by efficient businesses is cutting costs. Cutting back on expenses shouldn’t be a fallback when your sales aren’t blooming. It should be a constant practice, especially if you’re a new business.
Cutting costs is meant to eliminate any wasteful elements or unnecessary expenses on your business. The fact of the matter is, even if you’re already using less expensive marketing tools and management technology, business costs tend to increase regularly. To help you, we’ve listed a few tips on implementing an effective cost reduction while doing the environment a favor.
1.Buy used furniture
According to sustainability experts, buying used furniture is the greenest thing one can do. While you might not find this appealing for your workspace, you are literally helping reduce landfill waste. And of course, you can cut your furniture expenses in half.
It would be better if you can also find tables, desks, chairs, or storage furniture made of green materials. For example, you can opt to buy Forest Stewardship Council (FSC) Certified wood items. Such pieces are made from trees grown in socially responsible and sustainable conditions. If you’re willing to shell out a few more bucks, you can get these items in new condition. They’re intelligently designed and last longer too.
2.Switch to eco-friendly lighting
If you are looking to lower your energy bill, switching to energy-efficient lighting can help a lot. Instead of using incandescent light, get light-emitting diode (LED) bulbs, reducing your consumption up to 25% to 30%. While LED bulbs are typically a bit more costly upfront, you will be able to save more money in terms of energy and replacement expenses.
Apart from LEDs, there are compact fluorescent lights (CFL). Depending on your company’s location and size, you could save thousands of dollars in a year.
3.Repair before you dispose
Businesses, especially big ones, consume a great number of electronics and equipment annually. Whether you’re in the agricultural, manufacturing, or production industry, electronics are surely one of your biggest expenses. New technology, most of the time, is expensive. The catch is, they can easily break down due to extensive use or poor maintenance.
Instead of replacing your devices or tech equipment, it’s recommended to repair before deciding to replace the unit. For instance, instead of regularly replacing your employees’ company-issued smartphones, you can avail of a mobile device repair service. Most repair businesses even offer trade-in services wherein they’ll replace the unit that can’t be repaired for another device.
Repairing electronics is generally more affordable than replacing. Apart from being a financially responsible option, you also help the environment by reducing toxic electronic waste. Repairs lead to the consumption of fewer resources and less energy used in manufacturing processes.
4.Allow work-from-home option
One of the rising trends for companies today is remote work. I AM Builders, a company that specializes in construction takeoff services, has been implementing stay-at-home work for its employees and has had success with this new trend. This setup isn’t relatively new but became essential for many businesses when the pandemic started. The good thing is, working from home is also a great way for both companies and employees to save money—no office space rental, transportation, parking fees, bought-out lunches, and so on.
Numerous businesses that switched to remote work also see significant long-term savings. According to studies, on average, a business can save about $11,000 annually for each employee working from home. Companies can save tons on real estate costs, overhead costs, continuity of operations, and transit subsidies. As for the environmental impact, remote work allows companies and organizations to drastically reduce their carbon footprint since commuter travel won’t be needed.
5.Opt for permeable lots
If your business owns or manages the property it’s situated on. You can have huge savings in your pavement choice alone. When upgrading or installing a parking lot or driveway, it’s best to look for alternatives. Traditional materials such as asphalt and concrete usually utilized for paving will use manufactured drainage and sewage systems to get rid of the water. When overloaded during heavy rains, this can lead to more pollution as the overflow leaks into the environment.
Operating a business is generally expensive, but there are always ways to help you cut some costs down. With our tips, you can have better control over your expenditures while helping the environment. Be sure to incorporating each one as you modify your processes and practices, and you’ll surely achieve that profit objective of your company!